unfortuntely need the money elsewhere. Our builder needs a new ute
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pie has been doing alot of selling in some core holdings recently if the less than flattering comments about them on hotcopper are to be believed.
What thread/stocks so i can have a look; thanks.
Does anyone else think a 1.5% base management fee and 15% performance fee is a little over the top ?
Last i looked i had a 75% return in 3 years up to may 2016 in the growth fund so fees certainly wern't over the top for that fund. I keep thinking the performance will revert to the norm at some stage and better update myself .If it does yes those fees will then look exorbitant but then they are in a higher risk small/micro cap zone with its own inherent risks. It has been a successful part of my diversified portfolio (PIE)but yes i do need to update where its at. I understand some of the other funds have had more "normal" returns.
My "Emerging Fund" investment is more normal 30.6 % Pa since inception Apr 2013 ......
i was checking the mny,eml thread and saw the comments
example peterdoobes saysI know everyone likes to talk up their book but this is pretty blatant. Extract from newsletter emailed on 7 Feb:
"EML is our largest position at Pie because we believe the
market will eventually ignore the distractions and resume
its focus on the rapid earnings growth."
From 8 Feb to 23 Feb - holding reduced by 3.83m shares...
I myself was eluding to the possibility on this thread back in 2014 they maybe possibly doing pump and dumps? thru newsletters
Not trying to antagonize you Joshuatree but a genuine question, is this the fund you're invested in ? The one that's had a net return before tax of only 1.4% over the last year vs a market index return of 13% ?
https://www.piefunds.co.nz/assets/Fa...ets/Growth.pdf
One of the main advantages / disadvantages managed funds that chase large shareholdings in illiquid stocks like TIL have is that while they're building a large stake they can enjoy significant market outperformance (earning very substantial performance fees) simply through the weight of their money driving up the share prices of the companies they invest in.
However the opposite is equally true, once they have a large position they can easily find they've dug themselves into an intransigent position that's extremely difficult to extricate themselves from without inflicting a lot of pain on their investors. "Strange" that they never refund those performance fees when the very shares that created those performance fees go into meltdown isn't it.
Just thinking out loud here does that explain why they've closed this fund and opened a growth fund MK2 ?
Perhaps you would be so kind as to update us on your 3 years 10 months performance and share your thoughts on how well you feel they handled the TIL share price meltdown ?
Do you remain confident going forward in their ability to outperform the market after their management fee and performance fees and tax especially taking into account the sort of fiasco TIL turned out to be ?
Emerging Market fund has also dramatically underperformed the relevant index in the last year...more examples of TIL out there ?
While it is fair to say their new growth fund Mk2 has slightly outperformed, (before tax) the relevant index in the last year, after tax investors still would have been better off with the index return with no tax.
I am not convinced and the old investor adage of "past performance is no guarantee of future performance" springs readily to mind.
Disc No advice here, just plenty of food for thought and good banter.